MD_DA106                                                         
DA                                                               
MD DA106 Skim Milk Powder - Europe                               

MADISON, WI.  August 18, 2016 (REPORT 33)                        

WESTERN EUROPE                                                   
INFORMATION GATHERED  08/08/2016 - 08/19/2016                    
U.S. DOLLARS PER METRIC TON, FOB PORT                            

SKIM MILK POWDER (SMP):  

Skim milk powder prices in the EU slightly strengthened at each 
end of the price range. The market is quiet, partially 
attributed to the continuing holiday factor. Most current 
production is directed to filling existing contracts. In the EU 
skim milk powder manufacturers and sellers have begun 
discussions about fourth quarter contracts. Few have been 
finalized as each side is primarily exploring market factors at 
this time and price expectations differ buyer to seller. 
Manufacturers are also uncertain as to how much milk will be 
available to manufacture SMP in the fourth quarter and what the 
most profitable use of milk will be in manufacturing terms. 
Currently cheese is regarded as a more profitable use of milk 
than SMP.
                                                                                                         
1.25% BUTTERFAT:                         2,000 - 2,125    

0930c Eric.Graf@ams.usda.gov 608.557.7005
USDA/AMS/Dairy Market News, Madison, Wisconsin
Dairy Market News website: http://www.ams.usda.gov/market-news/dairy
Dairy Market News database portal: 
http://www.marketnews.usda.gov/mnp/da-home